You should ask them to file an amended 1099-NEC (reporting zero) as that should not have been filed.
That form is for performing services; of which you did not provide.
They should have technically filed form 1099-MISC.
If they won't file an amended form, then report it on Schedule C to avoid a matching notice.
Then reflect an expense for the same amount and reference Code Section 280A exclusion. This will net you to zero.
If they do amend, and then file the 1099-MISC, just report this on Schedule E, to avoid the matching notice, and then once again an expense to offset it and reference as above.
Just know, that this may cause a red flag along with a letter from the IRS. Just make sure that you have sufficient documentation to support the once a month rental; hopefully you have a written agreement. The IRS will want to have support that you do in fact meet the exclusion rule.
*A reminder that posts in a forum such as this do not constitute tax advice.
Also keep in mind the date of replies, as tax law changes.
